A trust that is required to distribute all income is not making a distribution in the current taxable year. The beneficiaries of the trust are uncertain whether they should include in their gross income the amount required to be distributed if it is not distributed. Which code section and subsection indicates whether the undistributed amount is taxable to the beneficiaries? Enter your response in the answer fields below. Guidance on correctly structuring your response appears above and below the answer fields.

A trust that is required to distribute all income is not making a distribution in the current taxable year. The beneficiaries of the trust are uncertain whether they should include in their gross income the amount required to be distributed if it is not distributed. Which code section and subsection indicates whether the undistributed amount is taxable to the beneficiaries? Enter your response in the answer fields below. Guidance on correctly structuring your response appears above and below the answer fields